Wabash National Corporation · NYSE:WNC
Wabash National — Q1 2020 Earnings Presentation
15 slides from Wabash National's earnings presentation, Mar 31, 2020
Slide 1: Wabash National Corporation 2020 Q1 Earnings Release
WABASH NATIONAL CORPORATION 2020 Q1 EARNING RELEASE
Slide 2: Safe Harbor Statement & Non-GAAP Financial Measures
SAFE HARBOR STATEMENT & NON-GAAP FINANCIAL MEASURES This presentation contains certain forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements convey Wabash National Corporation's (the "Company") current expectations or forecasts of f
Slide 3: CEO Highlights
CEO Highlights Top Priority: ▪ Wabash products continue to facilitate movement of critical goods Employee ▪ Implemented social distancing protocols, other safety measures Safety ▪ Embracing changes allowed us to adapt our business to current environment Status of ▪ Essential business - have continue
Slide 4: Q1 2020 Consolidated Financial Performance
Q1 2020 Consolidated Financial Performance Sales Gross Margin Earnings Per Share (in millions) $0.27 $533 -$0.04 $387 12.9% 9.5% -$2.01 2019 2020 2019 2020 2020 GAAP Adjusted 2019 2020 non-GAAP¹ ¹Q1 2020 non-GAAP EPS adjusted for noncash goodwill impairment 4 4
Slide 5: Cost Containment & Liquidity Summary
Cost Containment & Liquidity Summary Cost Structure Liquidity Profile* ▪ ~75-80% variable cost base Revolving Credit Facility ($122M) Cost Actions ▪ Completed two-week company-wide furlough; more possible $277M Available ▪ Salaried head count reduction ▪ Marketing and other discretionary spend reduc
Slide 6: Capital Allocation & Debt Structure
Capital Allocation & Debt Structure Q1 2020 Capital Allocation Debt Structure ▪ $6.3M in capital projects ▪ $4.5M in dividends $400 ▪ $8.9M in share repurchases Debt Maturities ($M) $300 Near-Term Capital Allocation Priorities $200 ▪ Reducing capex plans to ~$20M, can reduce further $100 ▪ Maintain
Slide 7: Well-Prepared to Navigate this Cycle
Well-Prepared to Navigate this Cycle Fundamentally Stronger Business Business is Considerably More Diversified 2007 Revenue 2019 Revenue ▪ Seasoned leadership team has experience managing through challenging times 35% ▪ Diversified business 50% 50% ▪ Final Mile less cyclical through prior recessions
Slide 8: Appendix
APPENDIX a
Slide 9: Condensed Consolidated Balance Sheets
CONDENSED CONSOLIDATED BALANCE SHEETS Unaudited - dollars in thousands March 31, 2020 December 31, 2019 Assets Current assets: Cash and cash equivalents $ 154,587 $ 140,516 Accounts receivable, net 138,215 172,737 Inventories 245,915 186,914 Prepaid expenses and other 38,340 41,222 Total current ass
Slide 10: Condensed Consolidated Statements of Operations
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS Unaudited - dollars in thousands Three Months Ended March 31, 2020 2019 Net sales $ 387,074 $ 533,174 Cost of sales 350,331 464,484 Gross profit 36,743 68,690 General and administrative expenses 26,192 30,140 Selling expenses 7,998 8,223 Amortization o
Slide 11: Condensed Consolidated Statements of Cash Flows
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS Unaudited - dollars in thousands Three Months Ended March 31, 2020 2019 Cash flows from operating activities Net (loss) income $ (106,647) $ 14,780 Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities Deprec
Slide 12: Q1 QTD Segment Information
Q1 QTD SEGMENT INFORMATION Unaudited - dollars in thousands Commercial Diversified Final Mile Corporate and Three Months Ended March 31, Trailer Products Products Products Eliminations Consolidated 2020 New trailers shipped 8,525 625 — — 9,150 Used trailers shipped 35 35 — — 70 New trailers $ 237,90
Slide 13: Reconciliation of Adjusted Segment and Operating Income
RECONCILIATION OF ADJUSTED SEGMENT AND OPERATING INCOME Unaudited - dollars in thousands Three Months Ended March 31, 2020 2019 Commercial Trailer Products Income from operations $ 15,871 $ 26,321 Adjustments: Impairment 377 — Adjusted operating income 16,248 26,321 Diversified Products (Loss) incom
Slide 14: Reconciliation of Adjusted Net Income and Adjusted Earnings Per Share
RECONCILIATION OF ADJUSTED NET INCOME AND ADJUSTED EARNINGS PER SHARE Unaudited - dollars in thousands Adjusted Net (Loss) Income1: Three Months Ended March 31, 2020 2019 Net (loss) income $ (106,647) $ 14,780 Adjustments: Facility transactions2 — 488 Impairment 107,114 — Tax effect of aforementione
Slide 15: Reconciliation of Operating EBITDA and Free Cash Flow
RECONCILIATION OF OPERATING EBITDA AND FREE CASH FLOW Unaudited - dollars in thousands Operating EBITDA1: Three Months Ended March 31, 2020 2019 Net (loss) income $ (106,647) $ 14,780 Income tax (benefit) expense (9,561) 3,159 Interest expense 6,272 7,090 Depreciation and amortization 11,119 10,549